The American people deserve to know that Congress is taking the responsible route and finding real solutions to lower the deficit. In a time of record inflation and turmoil on the international stage, it’s incredibly important that a pathway is laid out for a reasonable budget moving forward.
Last week, House Republicans passed H.R. 2811, the Limit, Save, and Grow Act, to raise the debt ceiling and implement meaningful and responsible economic incentives as well as spending cuts over the next decade. It includes rescinding of billions of dollars in unspent COVID-19 funds, nullifying the Biden administration’s cancellation of student loan debt, reducing discretionary spending to levels to cap growth at 1% per year, and spurs energy independence.
When the proposal was initially unveiled, it was clear Iowa’s economy would be put at risk through the elimination of tax credits that hugely benefit our farmers and renewable energy industry. Thankfully, our delegation stood united to protect these tax credits, and we were able to secure provisions to protect farmers and corn and soy biofuel producers. The agricultural industry contributes over $6 billion to Iowa’s economy and accounts for over 60% of Iowa’s corn. Iowa’s farmers and producers feed and fuel the world, creating thousands of jobs and protecting our national security, and I will always fight for the best interests of our state.
President Biden’s $6.8 trillion budget proposal ignores the need to cut reckless spending and gives billions to progressive priorities. It proposes massive tax increases that would remove incentives to invest in the United States both domestically and abroad. The higher costs incurred by companies would result in job losses and higher costs for consumers, damaging our economy in a time of serious financial instability. The most efficient way to lower our national debt is to grow our economy, and President Biden’s proposal would have the opposite effect.
We shouldn’t discourage profits from companies, rather, we should celebrate them as examples of American prosperity. After all, companies can’t thrive without creating tremendous value for their customers, and that’s the greatest benefit of the free market. These corporations create millions of jobs for Americans and should not be demonized by the federal government. President Biden claims that nobody making under $400,000 would see an increase in taxes, but it’s naive to assume that none of the trillions in tax increases would fall on hardworking Americans and the families they support. After all, many businesses would no longer operate if taxes were too high to sustain profits.
House Republicans have a huge responsibility to get spending under control, lower inflation, enhance economic growth and restore faith in the federal government. In a rapidly changing economic landscape, Iowans and Americans deserve to know that their representatives are looking out for their best interests.